GOOD NEWS FOR PROPERTY BUYERS Property Transfer Fees reduction of 50% is now permanent

29/07/2016
The time to buy your dream home in Cyprus is now. Benefit from the permanent reduction of the transfer fees by 50%.

The Cyprus Finance Ministry announced that the temporary arrangement to reduce Property Transfer Fees by 50 per cent, is now PERMANENT; the law implementing the change, ‘Land and Surveys Department (Fees and Rights) (Amendment) (No. 2) Law’, was passed on 14th JULY 2016 at a plenary session of the Cyprus parliament.

In its announcement the Finance Ministry stated “The above arrangement aims to boost additional growth in the construction industry and attract new investments from both the domestic, and the foreign markets.”

The following example clearly illustrates this:
For property purchased for €200,000 by one person, the fees payable are now €4,600 from €9,200
 
Up to €85,000 @3% = €2,550
From €85,001 to €170,00 @5% = €4,250
The remaining €30,000 @8% = €2,400
Total fees payable   = €9,200
New fees payable 50% Reduction = €4,600
 
For property purchased for €200,000 by 2 persons, the fees payable are now €3,300 from €6,600
 
Up to €85,000 @3% = €2,550 (half share)
Second €85,000 @3% = €2,550 (half share)
The remainder of €15,000 @5% = €750 (half share)
The remainder of second €15,000 @5% = €750 (half share)
Total fees payable   = €6,600
New fees payable 50% Reduction = €3,300